What is the total revenue for Alloy in 2024?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | 2022 | ||
|---|---|---|---|---|
| Revenues: | ||||
| Franchise fees | $1,384,305 | $853,791 | $239,379 | |
| Technology fees | 769,849 | 305,129 | 127,112 | |
| Royalties | 1,207,992 | 443,042 | 196,002 | |
| Brand development fund fees | 368,345 | 143,385 | 65,334 | |
| Retail sales | 48,815 | 27,851 | 20,717 | |
| Vendor rebate sales | 221,538 | 92,353 | 45,199 | |
| Sales assistant income | 12,000 | 75,545 | 6,750 | |
| Other revenues | 20,594 | 6,042 | 415 | |
| Total revenues | 4,033,438 | 1,947,138 | 700,908 | |
| Cost of goods sold | 32,196 | 18,220 | 14,944 | |
| Gross profit | 4,001,242 | 1,928,918 | 685,964 | |
| Selling, general and administrative expenses | 4,064,777 | 2,623,444 | 1,258,484 | |
| Net loss | (63,535) | (694,526) | (572,520) | |
| Members' deficit - beginning | (2,027,100) | (958,691) | (328,199) | |
| Members' contributions | - | 8,921 | 465,992 | |
| Members' distributions | (268,517) | (382,804) | (523,964) | |
| MEMBERS' DEFICIT - ENDING | $(2,359,152) | $(2,027,100) | $(958,691) |
Source: Item 23 — RECEIPTS (FDD pages 69–245)
What This Means (2025 FDD)
According to Alloy's 2025 Franchise Disclosure Document, the total revenue for Alloy in 2024 was $4,033,438. This figure represents the sum of various revenue streams, including franchise fees, technology fees, royalties, brand development fund fees, retail sales, vendor rebate sales, sales assistant income, and other revenues. This information is crucial for potential franchisees as it provides a clear picture of the brand's financial performance and revenue generation capabilities. Understanding the different revenue streams can help franchisees anticipate their own potential earnings and assess the overall financial health of the Alloy franchise system.
Breaking down the revenue sources, franchise fees contributed $1,384,305, technology fees amounted to $769,849, and royalties accounted for $1,207,992 of the total revenue. Additionally, Alloy generated $368,345 from brand development fund fees, $48,815 from retail sales, $221,538 from vendor rebate sales, $12,000 from sales assistant income, and $20,594 from other revenues. These figures offer insight into how Alloy generates income and the relative importance of each revenue stream. For example, the significant contribution from franchise and technology fees suggests the importance of initial setup and ongoing technological support in the Alloy business model.
In comparison to 2023 and 2022, Alloy's total revenues have shown substantial growth. The total revenue in 2023 was $1,947,138, and in 2022, it was $700,908. This upward trend may indicate the increasing popularity and market penetration of the Alloy franchise. Prospective franchisees should consider this growth trajectory as a positive sign, but also conduct their own due diligence to understand the factors driving this growth and whether it is sustainable. It's also important to note that while revenues have increased, Alloy reported a net loss of $63,535 in 2024, which is an improvement from the net losses of $694,526 in 2023 and $572,520 in 2022. This suggests that while revenue is growing, expenses are also significant, and profitability is still a challenge.
Overall, the revenue figures presented in the 2025 FDD provide valuable information for potential Alloy franchisees. By examining the different revenue streams, growth trends, and profitability metrics, prospective franchisees can gain a better understanding of the financial dynamics of the Alloy franchise system. However, it is essential to conduct thorough research and seek professional advice to make an informed investment decision.